Googlezon: Tan, Ready, Rested

September 24, 2008

The avalanche of articles, commentary, and backlink bottom feeding kept me from commenting about the Google G1 mobile device. I am not that excited about a gizmo. What I am thinking about are the stories about the Google / TMobile G1 preloaded with a hook to the Amazon MP3 store. You can read about this feature here. A hook up between Amazon and Google, no matter how trivial, is interesting. For companies like Apple or eBay, the connection is more than a curiosity or a convenience for a 20 something who can’t drink coffee without a personal sound track echoing through their actions. Here’s why in my opinion this tiny deal merits scrutiny:

  1. Google has no footprint in music. Amazon has been eager to replace the lost revenue of traditional CD sales. Now the two also rans in the online music business seem to be taking a tiny step to address this issue. Will it work? I’m not sure, but it’s an interesting move.
  2. Google has sat on its haunches and watched Amazon–a company headed by the world’s smartest man–out Google Google in cloud computing. Maybe this deal is a tacit admission that the GOOG’s math and physics majors need Amazon’s market savvy. Amazon certainly could benefit from some of Google’s engineering expertise.
  3. Amazon could become the equivalent of a Roman siege tower in an escalating battle with Apple. Apple has outgunned both Google and Amazon in online music retailing. Google has an enternal beta in its now repositioned Froogle service, its junk filled Google Base, and its lawsuit attracting YouTube.com service. Amazon might find a way to tap into Google’s ad goodness. Apple lacks this tap dancing move.

In this tussle among Amazon, Apple, Google, an Microsoft–sorry, Yahoo, you are not in the game–a relationship between Amazon and Google might undermine Microsoft’s subtle, often behind the scenes cheerleading for Amazon. Apple might find itself in more direct competition with the GOOG. Consumers may see more disruption on the online retail market in certain sectors.

A real or virtual Google – Amazon deal would raise again the notion of Googlezon. I think this is something I will enjoy pondering. Agree? Disagree?

Stephen Arnold, September 24, 2008

Comments

One Response to “Googlezon: Tan, Ready, Rested”

  1. CJ on September 25th, 2008 10:56 am

    I’m a huge Google fan, and as a person with a computing background, I will say something rather shallow: The iphone is prettier. One thing Apple do well is design. I think the Google phone will be better as far as applications go, easily.

    I understand what you’re saying about Amazon, what will come of this partnership?

    I’m happy to sit back and wait until further developments occur. Will it come in different colours? 🙂

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